For the first quarter of fiscal year 2014, Citrix achieved revenue of
$751 million, compared to $673 million in the first quarter of fiscal
year 2013, representing 12 percent revenue growth.

GAAP Results

Net income for the first quarter of fiscal year 2014 was $56 million, or
$0.30 per diluted share, compared to $60 million, or $0.32 per diluted
share, for the first quarter of fiscal year 2013. The current quarter
GAAP results include a restructuring charge of approximately $10 million
for severance costs incurred to better align resources to strategic
initiatives. Net income for the first quarter of fiscal year 2013
includes net tax benefits of approximately $9 million, or $0.05 per
diluted share.

Non-GAAP Results

Non-GAAP net income for the first quarter of fiscal year 2014 was $119
million, or $0.64 per diluted share, compared to $117 million, or $0.62
per diluted share, for the first quarter of fiscal year 2013. Non-GAAP
net income for the first quarter of fiscal year 2013 includes net tax
benefits of approximately $9 million, or $0.05 per diluted share.
Non-GAAP net income excludes the effects of amortization of acquired
intangible assets, stock-based compensation expenses and the tax effects
related to these items. In addition, non-GAAP net income for the first
quarter of fiscal year 2014 also excludes the effect of the
restructuring program implemented in the first quarter of fiscal year
2014.

In addition to quarterly financial results, Citrix also announced that
its Board of Directors has authorized it to repurchase up to an
additional $1.5 billion of its common stock. As of March 31, 2014,
approximately $429 million remained for repurchases from previous
authorizations.

“Our customers are looking for ways to embrace mobility, the cloud, IT
consumerization and BYOD,” said Mark Templeton, CEO for Citrix. “Those
needs are right in our sweet spot. As a leading provider in
infrastructure and cloud services, we are uniquely positioned to help
our customers deliver secure, managed, mobile workspaces.”

“I’m pleased with our performance in Q1, and the strong start to the
year,” said David Henshall, CFO and COO for Citrix. “We saw growth in
all our geographic markets, while delivering record cash flow from
operations. Our results were driven by balanced growth across all three
of our primary businesses: mobile and desktop, cloud networking, and
SaaS.”

Q1 Financial Summary

In reviewing the results for the first quarter of fiscal year 2014,
compared to the first quarter of fiscal year 2013:

Product and license revenue increased 7 percent;

Software as a service revenue increased 14 percent;

Revenue from license updates and maintenance increased 9 percent;

Professional services revenue, which is comprised of consulting,
product training and certification, increased 60 percent;

Revenue increased in the EMEA region by 15 percent; increased in the
Americas region by 9 percent, and increased in the Pacific region by 8
percent;

Deferred revenue totaled $1.4 billion as of March 31, 2014, compared
to $1.2 billion as of March 31, 2013, an increase of 15%; and

Cash flow from operations was $288 million for the first quarter of
fiscal year 2014, compared with $267 million for the first quarter of
fiscal year 2013.

Citrix management expects to achieve the following results for the
second quarter of fiscal year 2014 ending June 30, 2014:

Net revenue is targeted to be in the range of $765 million to $775
million;

GAAP gross margin is targeted to be in the range of 81 percent to 82
percent. Non-GAAP gross margin is targeted to be in the range of 84
percent to 85 percent, excluding 3 percent related to the effects of
amortization of acquired product related intangible assets and
stock-based compensation expense.

GAAP diluted earnings per share is targeted to be in the range of
$0.21 to $0.24. Non-GAAP diluted earnings per share is targeted to be
in the range of $0.57 to $0.59, excluding $0.19 related to the effects
of amortization of acquired intangible assets, $0.28 related to the
effects of stock-based compensation expenses, $0.03 related to the
effects of restructuring charges, and $(0.12) to $(0.17) for the tax
effects related to these items;

The above statements are based on current targets. These statements are
forward-looking, and actual results may differ materially.

Financial Outlook for Fiscal Year 2014

Citrix management expects to achieve the following results for the
fiscal year ending December 31, 2014:

Net revenue is targeted to grow by approximately 8.5 percent to 10
percent;

GAAP gross margin is targeted to be in the range of 81 percent to 82
percent. Non-GAAP gross margin is targeted to be in the range of 84
percent to 85 percent, excluding 3 percent related to the effects of
amortization of acquired product related intangible assets and
stock-based compensation expense.

GAAP diluted earnings per share is targeted to be in the range of
$1.61 to $1.71. Non-GAAP diluted earnings per share is targeted to be
in the range of $2.90 to $2.95, excluding $0.74 related to the effects
of amortization of acquired intangible assets, $1.02 related to the
effects of stock-based compensation expenses, $0.08 related to the
effects of restructuring charges, and $(0.50) to $(0.65) for the tax
effects related to these items.

GAAP tax rate is targeted to be in the range of 18 percent to 19
percent. Non-GAAP tax rate, which excludes the effects of amortization
of acquired intangible assets, stock-based compensation and
restructuring charges is targeted to be in the range of 23 percent to
24 percent.

The above statements are based on current targets. These statements are
forward-looking, and actual results may differ materially.

Conference Call Information

Citrix will host a conference call today at 4:45 p.m. ET to discuss its
financial results, quarterly highlights and business outlook. The call
will include a slide presentation, and participants are encouraged to
listen to and view the presentation via webcast at http://www.citrix.com/investors.

The conference call may also be accessed by dialing: (888) 799-0519 or
(706) 634-0155, using passcode: CITRIX. A replay of the webcast can be
viewed by visiting the Investor Relations section of the Citrix
corporate website at http://www.citrix.com/investors
for approximately 30 days.

About Citrix

Citrix (NASDAQ:CTXS) is a leader in virtualization, networking and cloud
services to enable new ways for people to work better. Citrix solutions
help IT and service providers to build, manage and secure virtual and
mobile workspaces that seamlessly deliver apps, desktops, data and
services to anyone, on any device, over any network or cloud. This year
Citrix is celebrating 25 years of innovation, making IT simpler and
people more productive with mobile workstyles. With annual revenue in
2013 of $2.9 billion, Citrix solutions are in use at more than 330,000
organizations and by over 100 million people globally. Learn more at www.citrix.com.

For Citrix Investors

This release contains forward-looking statements which are made pursuant
to the safe harbor provisions of Section 27A of the Securities Act of
1933 and of Section 21E of the Securities Exchange Act of 1934. The
forward-looking statements in this release do not constitute guarantees
of future performance. Investors are cautioned that statements in this
press release, which are not strictly historical statements, including,
without limitation, statements by Citrix's chief financial officer and
chief operating officer and Citrix’s president and chief executive
officer, statements contained in the Financial Outlook for Second
Quarter 2014 and Financial Outlook for Fiscal Year 2014 sections, and
under the Non-GAAP Financial Measures Reconciliation section, and
statements regarding management's plans, objectives and strategies,
constitute forward-looking statements. Such forward-looking statements
are subject to a number of risks and uncertainties that could cause
actual results to differ materially from those anticipated by the
forward-looking statements, including, without limitation, the impact of
the global economy and uncertainty in the IT spending environment; the
success and growth of the company's product lines, including transitions
in the markets for Citrix's desktop virtualization products and
collaboration services; the company's ability to develop and
commercialize new products and services, including its enterprise
mobility and cloud platform products, while growing its established
virtualization, networking and collaboration products and services;
disruptions due to changes and transitions in key personnel and
succession risks, including but not limited to risks related to the
timing and outcome of our CEO search; the introduction of new products
by competitors or the entry of new competitors into the markets for
Citrix's products and services; changes in our revenue mix towards
products and services with lower gross margins; changes in deferred
growth and composition associated with product license revenue growth;
seasonal fluctuations in the company's business; failure to execute
Citrix's sales and marketing plans; failure to successfully partner with
key distributors, resellers, system integrators, service providers and
strategic partners and the company's reliance on and the success of
those partners for the marketing and distribution of the company's
products; the company's ability to maintain and expand its business in
small sized and large enterprise accounts; the size, timing and
recognition of revenue from significant orders; the success of
investments in its product groups, foreign operations and vertical and
geographic markets; the ability of Citrix to make suitable acquisitions
on favorable terms in the future; risks associated with Citrix's
acquisitions, including failure to further develop and successfully
market the technology and products of acquired companies, failure to
achieve or maintain anticipated revenues and operating performance
contributions from acquisitions, which could dilute earnings, the
retention of key employees from acquired companies, difficulties and
delays integrating personnel, operations, technologies and products,
disruption to our ongoing business and diversion of management's
attention from our ongoing business; the recruitment and retention of
qualified employees; risks in effectively controlling operating
expenses, including failure to manage untargeted expenses; ability to
effectively manage our capital structure and the impact of related
changes on our operating results and financial condition; the effect of
new accounting pronouncements on revenue and expense recognition; the
risks associated with securing data and maintaining security of our
networks and customer data stored by our services; failure to comply
with federal, state and international regulations; litigation and
disputes, including challenges to our intellectual property rights or
allegations of infringement of the intellectual property rights of
others; the inability to further innovate our technology or enter into
new businesses due to the intellectual property rights of others;
changes in the company's pricing and licensing models, promotional
programs and product mix, all of which may impact Citrix's revenue
recognition; charges in the event of the impairment of acquired assets,
investments or licenses; international market readiness, execution and
other risks associated with the markets for Citrix's products and
services; unanticipated changes in tax rates, non-renewal of tax credits
or exposure to additional tax liabilities; risks of political and social
turmoil; and other risks detailed in the company's filings with the
Securities and Exchange Commission. Citrix assumes no obligation to
update any forward-looking information contained in this press release
or with respect to the announcements described herein.

Citrix® is a trademarks or registered trademarks of Citrix Systems, Inc.
and/or one or more of its subsidiaries, and may be registered in the
U.S. Patent and Trademark Office and in other countries. All other
trademarks and registered trademarks are property of their respective
owners.

CITRIX SYSTEMS, INC.

Condensed Consolidated Statements of Income

(In thousands, except per share data - unaudited)

Three Months Ended

March 31,

2014

2013

Revenues:

Product and licenses

$

207,424

$

193,083

Software as a service

157,132

137,566

License updates and maintenance

343,758

315,738

Professional services

42,505

26,512

Total net revenues

750,819

672,899

Cost of net revenues:

Cost of product and license revenues

31,337

25,794

Cost of services and maintenance revenues

78,683

64,411

Amortization of product related intangible assets

24,306

24,709

Total cost of net revenues

134,326

114,914

Gross margin

616,493

557,985

Operating expenses:

Research and development

133,618

130,492

Sales, marketing and services

316,496

297,682

General and administrative

72,388

62,785

Amortization of other intangible assets

12,454

10,418

Restructuring

9,650

-

Total operating expenses

544,606

501,377

Income from operations

71,887

56,608

Other (expense) income, net

(3,132

)

1,196

Income before income taxes

68,755

57,804

Income tax expense (benefit)

12,816

(1,884

)

Net income

$

55,939

$

59,688

Earnings per common share – diluted

$

0.30

$

0.32

Weighted average shares outstanding – diluted

185,681

189,011

CITRIX SYSTEMS, INC.

Condensed Consolidated Balance Sheets

(In thousands - unaudited)

March 31, 2014

December 31, 2013

ASSETS:

Cash and cash equivalents

$

298,519

$

280,740

Short-term investments

530,758

453,976

Accounts receivable, net

510,862

654,821

Inventories, net

12,537

14,107

Prepaid expenses and other current assets

138,389

110,981

Current portion of deferred tax assets, net

47,836

48,470

Total current assets

1,538,901

1,563,095

Long-term investments

998,831

855,700

Property and equipment, net

336,740

338,996

Goodwill

1,783,090

1,768,949

Other intangible assets, net

487,771

509,595

Long-term portion of deferred tax assets, net

70,779

115,418

Other assets

53,361

60,496

Total assets

$

5,269,473

$

5,212,249

LIABILITIES AND STOCKHOLDERS’ EQUITY:

Accounts payable

76,661

78,452

Accrued expenses and other current liabilities

271,840

257,606

Income taxes payable

8,458

29,322

Current portion of deferred revenues

1,092,577

1,098,681

Total current liabilities

1,449,536

1,464,061

Long-term portion of deferred revenues

318,226

313,059

Other liabilities

87,694

115,322

Stockholders' equity:

Common stock

293

291

Additional paid-in capital

4,034,515

3,974,297

Retained earnings

2,959,480

2,903,541

Accumulated other comprehensive income

4,250

4,951

Less – common stock in treasury, at cost

(3,584,521

)

(3,563,273

)

Total stockholders' equity

3,414,017

3,319,807

Total liabilities and stockholders’ equity

5,269,473

$

5,212,249

CITRIX SYSTEMS, INC.

Condensed Consolidated Statement of Cash Flows

(In thousands - unaudited)

Three Months Ended March 31, 2014

OPERATING ACTIVITIES

Net Income

$

55,939

Adjustments to reconcile net income to net cash

provided by operating activities:

Amortization and depreciation

70,031

Stock-based compensation expense

40,701

Provision for accounts receivable allowances

1,194

Deferred income tax benefit

(2,474

)

Other non-cash items

(1,524

)

Total adjustments to reconcile net income to net cash

107,928

provided by operating activities

Changes in operating assets and liabilities,

net of the effects of acquisitions:

Accounts receivable

142,974

Inventory

1,117

Prepaid expenses and other current assets

(28,276

)

Other assets

2,101

Deferred revenues

(938

)

Accounts payable

(1,312

)

Income taxes, net

(3,707

)

Accrued expenses

10,598

Other liabilities

1,452

Total changes in operating assets and liabilities,

124,009

net of the effects of acquisitions

Net cash provided by operating activities

287,876

INVESTING ACTIVITIES

Purchases of available-for-sale investments, net

(219,714

)

Purchases of property and equipment

(30,469

)

Cash paid for acquisitions, net of cash acquired

(24,154

)

Proceeds from sales of cost method investments

803

Purchases of cost method investments

(766

)

Cash paid for licensing and core technology

(711

)

Net cash used in investing activities

(275,011

)

FINANCING ACTIVITIES

Proceeds from issuance of common stock

under stock-based compensation plans

7,958

Payments on debt from acquisitions

(3,766

)

Excess tax benefit from stock-based compensation

2,332

Cash paid for tax withholding on vested stock awards

(2,316

)

Net cash provided by financing activities

4,208

Effect of exchange rate changes on cash and cash equivalents

706

Change in cash and cash equivalents

17,779

Cash and cash equivalents at beginning of period

280,740

Cash and cash equivalents at end of period

$

298,519

Reconciliation of Non-GAAP Financial Measures to Comparable U.S. GAAP
Measures

(Unaudited)

Pursuant to the requirements of Regulation G, the Company has provided a
reconciliation of each non-GAAP financial measure used in this earnings
release and related conference call, slide presentation or webcast to
the most directly comparable GAAP financial measure. These measures
differ from GAAP in that they exclude amortization primarily related to
acquired intangible assets, stock-based compensation expenses, charges
associated with the Company’s restructuring program and the related tax
effect of those items. The Company's basis for these adjustments is
described below.

Management uses these non-GAAP measures for internal reporting and
forecasting purposes, when publicly providing its business outlook, to
evaluate the Company's performance and to evaluate and compensate the
Company's executives. The Company has provided these non-GAAP financial
measures in addition to GAAP financial results because it believes that
these non-GAAP financial measures provide useful information to certain
investors and financial analysts for comparison across accounting
periods not influenced by certain non-cash items that are not used by
management when evaluating the Company's historical and prospective
financial performance. In addition, the Company has historically
provided this or similar information and understands that some investors
and financial analysts find this information helpful in analyzing the
Company's operating margins, operating expenses and net income and
comparing the Company's financial performance to that of its peer
companies and competitors.

Management typically excludes the amounts described above when
evaluating the Company's operating performance and believes that the
resulting non-GAAP measures are useful to investors and financial
analysts in assessing the Company's operating performance due to the
following factors:

• The Company does not acquire businesses on a predictable cycle. The
Company, therefore, believes that the presentation of non-GAAP measures
that adjust for the impact of amortization and certain stock-based
compensation expenses and the related tax effects that are primarily
related to acquisitions, provide investors and financial analysts with a
consistent basis for comparison across accounting periods and,
therefore, are useful to investors and financial analysts in helping
them to better understand the Company's operating results and underlying
operational trends.

• Amortization costs and the related tax effects are fixed at the time
of an acquisition, are then amortized over a period of several years
after the acquisition and generally cannot be changed or influenced by
management after the acquisition.

• Although stock-based compensation is an important aspect of the
compensation of the Company's employees and executives, stock-based
compensation expense is generally fixed at the time of grant, then
amortized over a period of several years after the grant of the
stock-based instrument, and generally cannot be changed or influenced by
management after the grant.

• The charges incurred in conjunction with the Company's restructuring
program, which relate to reductions in headcount are not anticipated to
be ongoing costs and, thus, are outside of the normal operations of the
Company's business. The Company, therefore, believes that the exclusion
of these charges will better help investors and financial analysts
understand the Company's operating results and underlying operational
trends as compared to prior periods.

These non-GAAP financial measures are not prepared in accordance with
accounting principles generally accepted in the United States ("GAAP")
and may differ from the non-GAAP information used by other companies.
There are significant limitations associated with the use of non-GAAP
financial measures. The additional non-GAAP financial information
presented here should be considered in conjunction with, and not as a
substitute for or superior to, the financial information presented in
accordance with GAAP (such as net income and earnings per share) and
should not be considered measures of the Company's liquidity.
Furthermore, the Company in the future may exclude amortization
primarily related to newly acquired intangible assets, additional
charges related to its restructuring program and the related tax effects
from financial measures that it releases, and the Company expects to
continue to incur stock-based compensation expenses.